Gross Negligence or Willful Misconduct:-
Gross negligence is a legal concept which means serious carelessness. Negligence is the opposite of diligence, or being careful. The standard of ordinary negligence is what conduct one expects from the proverbial "reasonable person". By analogy, if somebody has been grossly negligent, that means they have fallen so far below the ordinary standard of care that one can expect, to warrant the label of being "gross". Prosser and Keeton describe gross negligence as being "the want of even slight or scant care", and note it as having been described as a lack of care that even a careless person would use. They further note that while some jurisdictions equate gross negligence with recklessness in terms of culpability, most simply differentiate it from simple negligence in terms of degree.
Gross negligence is, controversially, used as a standard for criminal law for example, under manslaughter in English law.
outsourcing agreements, parties typically limit their liability to each other. The parties often exclude from those limitations on liability damages caused by gross negligence or willful misconduct. The definitions of gross negligence and willful misconduct vary by state and the conduct that courts consider as falling under those definitions depends on the facts of each case. This article examines the definitions of gross negligence and willful misconduct, the difficulty in demonstrating to courts that a party’s conduct meets the standards imposed by those definitions and the implications for outsourcing agreements. For purposes of this article, we focus on New York law, commonly selected as the governing law in large outsourcing transactions.